Bill Text: MS HB1080 | 2014 | Regular Session | Introduced
Bill Title: Ad valorem tax; remove the provision that prescribes the manner in which affordable rental housing must be appraised.
Spectrum: Partisan Bill (Republican 5-0)
Status: (Failed) 2014-02-04 - Died In Committee [HB1080 Detail]
Download: Mississippi-2014-HB1080-Introduced.html
MISSISSIPPI LEGISLATURE
2014 Regular Session
To: Ways and Means
By: Representatives Alday, Hamilton, Jennings, Kinkade, Nelson
House Bill 1080
AN ACT TO AMEND SECTION 27-35-50, MISSISSIPPI CODE OF 1972, TO REMOVE THE PROVISION THAT PRESCRIBES THE MANNER IN WHICH THE APPRAISAL OF AFFORDABLE RENTAL HOUSING SHALL BE MADE FOR THE PURPOSE OF ARRIVING AT THE TRUE VALUE OF THE PROPERTY; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 27-35-50, Mississippi Code of 1972, is amended as follows:
27-35-50. (1) True value shall mean and include, but shall not be limited to, market value, cash value, actual cash value, proper value and value for the purposes of appraisal for ad valorem taxation.
(2) With respect to each
and every parcel of property subject to assessment, the tax assessor shall, in
ascertaining true value, consider whenever possible the income capitalization
approach to value, the cost approach to value and the market data approach to
value, as such approaches are determined by the * * * Department of Revenue.
For differing types of categories of property, differing approaches may be
appropriate. The choice of the particular valuation approach or approaches to
be used should be made by the assessor upon a consideration of the category or
nature of the property, the approaches to value for which the highest quality
data is available, and the current use of the property.
(3) Except as otherwise provided in subsection (4) of this section, in determining the true value of land and improvements thereon, factors to be taken into consideration are the proximity to navigation; to a highway; to a railroad; to a city, town, village or road; and any other circumstances that tend to affect its value, and not what it might bring at a forced sale but what the owner would be willing to accept and would expect to receive for it if he were disposed to sell it to another able and willing to buy.
(4) (a) In arriving at the true value of all Class I and Class II property and improvements, the appraisal shall be made according to current use, regardless of location.
(b) In arriving at the
true value of any land used for agricultural purposes, the appraisal shall be
made according to its use on January 1 of each year, regardless of its
location; in making the appraisal, the assessor shall use soil types,
productivity and other criteria set forth in the land appraisal manuals of the * * * Department of Revenue,
which criteria shall include, but not be limited to, an income capitalization
approach with a capitalization rate of not less than ten percent (10%) and a
moving average of not more than ten (10) years. However, for the year 1990,
the moving average shall not be more than five (5) years; for the year 1991,
not more than six (6) years; for the year 1992, not more than seven (7) years;
for the year 1993, not more than eight (8) years; and for the year 1994, not
more than nine (9) years; and for the year 1990, the variation up or down from
the previous year shall not exceed twenty percent (20%) and thereafter, the
variation, up or down, from a previous year shall not exceed ten percent
(10%). The land shall be deemed to be used for agricultural purposes when it
is devoted to the commercial production of crops and other commercial products
of the soil, including, but not limited to, the production of fruits and timber
or the raising of livestock and poultry; however, enrollment in the federal
Conservation Reserve Program or in any other United States Department of
Agriculture conservation program shall not preclude land being deemed to be
used for agricultural purposes solely on the ground that the land is not being
devoted to the production of commercial products of the soil, and income
derived from participation in the federal program may be used in combination
with other relevant criteria to determine the true value of such land. The
true value of aquaculture shall be determined in the same manner as that used
to determine the true value of row crops.
(c) In determining the true value based upon current use, no consideration shall be taken of the prospective value such property might have if it were put to some other possible use.
* * *
(5) The true value of each class of property shall be determined annually.
(6) The * * * Department of Revenue
shall have the power to adopt, amend or repeal such rules or regulations in a
manner consistent with the Constitution of the State of Mississippi to
implement the duties assigned to the * * * department in this section.
SECTION 2. This act shall take effect and be in force from and after January 1, 2014.
